Sugar price hike of 3 baht reversed after PM’s intervention to safeguard popularity

The sugar price increase, which was set to rise by 3 baht per kilogram at factories, was halted after Prime Minister Anutin Charnvirakul intervened to protect the government's popularity. The price adjustment came as the Office of the Cane and Sugar Board (OCSB) issued an announcement to set the sugar prices for the 2025/2026 production season, citing rising production costs. The new sugar prices, effective from November 8, 2025, were:

1. Raw sugar increased from 21 baht per kilogram to 24 baht.
2. White sugar increased from 22 baht per kilogram to 25 baht.

The OCSB, led by Secretary-General Bainoi Suwanchatree, explained that the price adjustments were needed to align with the rising costs of sugarcane production and sugar refining. The cost of cultivating sugarcane, approved by the Cane and Sugar Board, is 1,358 baht per ton, while the estimated price of sugarcane is 900 baht per ton. Without the price increase, sugarcane farmers would have faced losses.

The price hike was approved by the Cane and Sugar Board (CSB), chaired by Nattapol Rangsitpol, Permanent Secretary, Ministry of Industry. However, upon learning of the price increase, Prime Minister Anutin quickly ordered the Ministry of Industry, overseen by Minister Thanakorn Wangboonkongchana, to review the decision.

By the evening of November 7, 2025, a new notice was issued, signed by the OCSB Secretary-General, reversing the price increase and restoring the previous prices, effective from November 8, 2025:

1. Raw sugar dropped back to 21 baht per kilogram.
2. White sugar reverted to 22 baht per kilogram.

The decision to reverse the price increase followed concerns that raising sugar prices could affect public sentiment and the cost of living. Sugar remains one of the 59 items controlled by the Ministry of Commerce, which recently extended its price control policy on June 26, 2025. The rise in sugar prices would have conflicted with government policies aimed at reducing living costs, such as the "Let’s Go Halves Plus" programme.

This swift reversal aligns with the government's efforts to safeguard its approval ratings, especially as Prime Minister Anutin has announced that the dissolution of parliament is expected by January 31, 2026, with elections scheduled for March 29, 2026. The political situation remains volatile, as the opposition "Pheu Thai" Party is expected to submit a motion for a no-confidence debate on the government in December 2025, potentially accelerating the dissolution of parliament to maintain support before the election.

Prime Minister Anutin’s intervention in reversing the sugar price hike was seen as a move to avoid negative effects on the public, ensuring that living costs would not rise unnecessarily as the government approaches the election period.